Can someone explain how banks work? Who gets to keep all the money they make...

Can someone explain how banks work? Who gets to keep all the money they make? Does the profit they make go into a billionaires back pocket? I refuse to get a mortgage. I refuse to pay interest. I'd rather be homeless. A house shouldn't cost more than a grand. They make houses expensive on purpose so we can't buy them outright. They think that I'll take a loan off them. Never.

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canadianbusiness.com/lists-and-rankings/richest-people/100-richest-canadians-complete-list/
investopedia.com/terms/b/bank.asp
youtube.com/watch?v=RrwbgdtbdXE
archive.org/details/ModernMoneyMechanics
youtube.com/watch?v=23DNe0cJhcU
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Businesses. They take loans from the central bank, paying them interest. They give you loans then u pay interest. This is it in 2 sentemces

Who gets to keep the money they make?

Obviously a lot more complicatef than that but theres central banks then big banks and other financial intermediaries that basically make money from margins

They pay back the central banks the loans and any capital is dispersed via dividends and retained earnings like other corporations. In essence its just a business

Please take some lessons in economics, you can get a basic idea of economics work in about 3 hours by just watching a few youtube videos.

I guess to answer, who? The bank as a business keeps their earnings and invests in growth or future scams they want to do

So shareholders profit from banks like HSBC? Who owns the central banks?

here's top 100 richest families in canada, how many "special names" can you spot?

canadianbusiness.com/lists-and-rankings/richest-people/100-richest-canadians-complete-list/

The whole ensemble designed to keep laymen busy with trivialities until they die. Otherwise, society stagnates, people stop spending credit, business go under, cities become ghost towns, etc... The banking system is the gearbox in which the gears of society are turning. That isn't to say this is the only way; its just the only way such a large population of uninspired, talent-less feeders could survive without killing one another (or most likely just being killed by the more aggressive or less intelligent).

Different types of banks do different things.
investopedia.com/terms/b/bank.asp

Im sleepy. Bed time

CFA Charterholder here (one of the 80 or so in Norway)


A bank today can do a lot of different stuff.

But the core banking business as you are referring to is basically this:


1) You lend out money : 100 monies . And on this you generate an interest rate: let's say 6%

2) In order to lend out money, you must have money. It's quite misleading to say that banks print money. They can't lend out anything they don't have.

3) So to get money to lend out, they need someone to lend them money. Yes, the bank borrows money.

4) Who does the bank borrow money from? Well, they can issue bonds, which are like interest-paying loans to the bank.

5) But in some part, the bank borrows money from those who deposit their money at the bank. Yes, when you put your money in the bank, you lend the bank money. So the bank borrows 100 monies, and pay you let's say 2% interest

The net interest margin is the interest paid to the bank, minus what the bank pays to borrow. So in this case it would be 6% - 2% = 4%

And this for a sum of 100, so that's a profit of 4.

It's a bit more complicated than this, the bank also has basically a pot of money that is "it's own". It will generally be a small portion of the total -- let's say 10%. That could make it look like:

Assets: 100

Liabilities: 100

Equity: 10

Profit 4, profit margin on equity (the bank's own money) 40%

>Who owns the central banks?
Rothschilds

>Who owns the central banks?

Who nose?

Oh, and that profit on 4 can be used in two ways:

- paid out as dividends - so the shareholders get a return on equity of 40%

- retained and kept as equity, which makes it possible to expand borrowing and lending more. Let's say that the capital requirement is 10%, so if the new equity is 14, that means they can give 140 in loans and borrow 140.

In the most basic form they are intermediaries between the central bank and the public. The problem is when they realize their power and become speculative inveators in the market. This is the best two sentence summary of the jew.

Thanks for all the info so far.

So you're saying the money that is made when people take out a mortgage goes into the pocket of Jewish people?

Except that banks do create loans from thin air, from $10 of equity they create the other assets + liabilities out of nothing.

Say you go to them for a mortgage, and you bring a deposit: you give them $50,000, and they create $500,000 out of thin air to allow you to buy the house, it's a liability. Then they also create the mortgage worth $600,000 in assets or something. And the $50,000 is kept as reserves.

>So you're saying the money that is made when people take out a mortgage goes into the pocket of Jewish people?
The banks often times make up money out of thin air. They give out loans of money they do not have.This is why they shut down whenever there is a bank run

Most mortgages are securitized and then sold to govenments to the finance operations. If the mortgages fail the governments then lose by having to print money for cover their loss which hurts everyone. In summary banks are selling off their risk to tax payers and voters eat it up because they are stupid in terms of accounting and finance.

All you need to know is this: Buy all the shares of Lloyd's bank you can afford. LLOY.L

Ticker LYG for my USA bros.

Everything you need to know about how banks work is in this video user:
>youtube.com/watch?v=RrwbgdtbdXE

archive.org/details/ModernMoneyMechanics

Its pretty simple really.

A leaf runs our Bank and keeps rates low and inflates a housing bubble.

Banks work by loaning money and gaining interest on it. For that, you need a lot of capital.

They get capital by incentivising people to put their money in the bank through dividends based off of how much interest the bank could make off of your money.

The business pockets the interest as revenue. Stock brokers, mutual fund managers, and bankers all get a bad rap for seemingly being a leech and making money off of nothing.

But they play an important part in the economy because they make money off of the inefficiencies of the market, as well as gauge the value of businesses.

>Does the profit they make go into a billionaires back pocket?
>I refuse to get a mortgage. I refuse to pay interest. I'd rather be homeless.
>A house shouldn't cost more than a grand.
Underage b& now

There's only 80 charterholders in Norway? Why so few?

>CFA

too retarded to get into business school and obtain an MBA?

Norway is small, with a relatively small financial sector, and we had an established qualification here already. Much bigger in Sweden and Denmark. Also any global financial operation with a nordic HQ would rather have it in Copenhagen or Stockholm generally, for obvious reasons.

Sorry, was afk a while.

I'm not giving you triangulation information.

one emp or hacker attack and nobody knows what your bank account was worth. there are no physical papers proofing your bank balance.

also watch this, this is the best visual representation ever made of the monetary system. guy is mike maloney
youtube.com/watch?v=23DNe0cJhcU

this a million times over

ironic how the "educated" "degree" etc all dont mention it but instead parrot the bullshit narrative they learned

since the gold standard has been abolished banks have become scams
money is printed by the FED and created out of thin air by your bank

i some spastic "economist" starts to argue this with you just ask him what would happen if every client would take his money out of the bank- and why
Collapse and it would come out the bank has no money to pay out to everyone
basically its virtual monies issued to dumb goys

((((their))) field of expertise , their game

to start a bank all you need is $40 million, all profits you either take for yourself as owner/founder/ceo whatever or you reinvest portion of it to grow your bank just like any other business. Everything is a business, the more you make the more possibilities you see before you to invest in

>he thinks an MBA is worth more than a CFA

>Except that banks do create loans from thin air, from $10 of equity they create the other assets + liabilities out of nothing.

No, they don't "create" the money they borrow from depositors and bondholders from nothing, at all.

A bank cannot create money. If it want to lend out 100, it has to borrow 100. It does not create these 100 it borrows from nothing.

As for "creating" the 100 it lends -- well, that's a strange way to define creating. I have 100 in my pocket and lend you 100, did I create 100?

>Say you go to them for a mortgage, and you bring a deposit: you give them $50,000, and they create $500,000 out of thin air to allow you to buy the house

No, as I pointed out, the bank does not create $500,000 out of thin air. This is what I called "quite misleading" above. It can only lend you 500k if it borrows 500k from somewhere.

MBAs are memes in the business world. Certs mean more.

Banks create money out of thin air at the moment a new loan is made. Then you have to pay it back with interest. Good luck sucker.

Read The Creature from Jeckyll Island.

This is the best book you can read on the subject.

Web of Debt is also a good book.

Wrong.